PER SQUARE FEET
  • DEBT AVAILABLE
  • TENANTED
5,200 SF
Outer Ring Road, Bangalore
  • MIN INVESTMENT
  • NO OF INVESTORS
  • RENTAL YIELD
  • RETURN TARGET
  • 100%
Of ₹ 5,65,00,000 Property Value
  • There is an opportunity to purchase a 5,200 square feet commercial office space in Umiya Business Bay II within the Cessna Business Park on Sarjapur Outer Ring Road, Bangalore for an all-in cost of Rs. 5,65,00,000 (Rs. 10,865 per sf).

    Umiya Business Bay is an office development comprising two towers - Business Bay 1 and Business Bay 2. Business Bay 1 was completed in 2014 and is currently 100% leased to blue chip tenants like AT&T, Ericsson, Page Industries and Amazon. Business Bay 2 has just received the Occupation Certifcate and is 90% leased.

    Sarjapur ORR is the single largest office market in India with 40 million sf of office space in a 4 km stretch with headquarters of CISCO, Goldman Sachs, HSBC, Northern Trust, GE Honeywell, SONY, LG, InMobi, Flipkart among others. There is currently only two other projects with potential supply - Embassy Tech Village and RMZ Ecoworld most of which has already been pre-leased.

    Rents on Sarjapur ORR have increased at a CAGR of 10% over the last 9 years from Rs. 30 per square foot to Rs. 65 per square foot.

    At the price negotiated by Property Share, the gross rental yield works out to 7.2% with 15% escalation every 3 years.

    • HIGH RENTAL YIELD on All-in Price
    • ESCALATION every 3 years
    • ATTRACTIVE PRICE Per square foot
    • LOCATION Located in India's largest IT corridor
    • 100%
      INVESTMENT AMOUNT
    • 28%
      RENTS
    • 2%
      INTEREST ON DEPOSIT
    • 46%
      PROFIT
    • 176%
      TOTAL
    Return Target : 16.5%
  • ₹ 5,65,00,000
    • purchase price
    • stamp duty
    • registration
    • brokerage
    • legal fee
    • cess
    • reserve
    • purchase price
    • stamp duty
    • registration
    • brokerage
    • legal fee
    • cess
    • reserve
    All in price

Sarjapur ORR is the largest office market in Bangalore (40 million sf, 35% of total Bangalore market) with offices of JP Morgan, CISCO, Accenture, Cognizant, Wipro, Oracle, Intel, Honeywell, SAP, HSBC, KPMG, ADOBE, Sony, Goldman Sachs, Flipkart  among others.

Well laid out floor divisible into 4 separate office with lifts in the middle and bathrooms in the four corners.

  • ₹ 5,65,00,000
    • purchase price
    • stamp duty
    • registration
    • brokerage
    • legal fee
    • cess
    • reserve
    • purchase price
    • stamp duty
    • registration
    • brokerage
    • legal fee
    • cess
    • reserve
    All in price
  • ₹3,19,800
    GROSS RENT
  • ₹9,594
    property tax
  • ₹35,312
    property management fee
  • ₹2,74,894
    net rent
Annual Yield : 7.20%
  • 01 Jan 2017
  • 3 YEARS
  • 31 Dec 2025
  • 5,200 SF
  • ₹ 62
  • 9 YEARS
  • 15%

TENANT DETAILS

Name: Page Industries

Market Cap: $2.4 bn (listed on NSE/BSE)

Size: 19,000 employees | 44,000 outlets | 1,400 cities

Description: Exclusive licensee of JOCKEY International Inc. (USA) and Speedo International for manufacture, distribution and marketing of the JOCKEY® brand in India, Sri Lanka, Bangladesh, Nepal and the UAE

  • Rs. 10,865 psf (including registration) for a Grade A completed rented office building on ORR
  • 7.2% rental yield
  • Rent of Rs. 61.5 psf is 15% below market rents which could lead to high returns
  • Mark-to-market rental yield of 8.25%
  • Bulls-eye location in India's largest office market
  • Part of a campus with MNC tenants like CISCO, LG, KPMG
  • Tenanted to Page Industries (Jockey) | $2.3 bn market cap
  • At a 10% CAGR on exit, the returns are 16.5% and 1.8x
5%
15%
  • PROFIT AMOUNT
  • SALE PRICE PSF
  • MOIC
  • IRR
DAY 0 Year 1 Year 2 Year 3 Year 4
investment ( ₹ 5,65,00,000 )
rents 38,37,600 38,37,600 38,37,600 44,13,240
interest on deposit 2,55,840 2,55,840 2,55,840 2,55,840
sale value 8,27,21,650
TOTAL ( ₹ 5,65,00,000 ) ₹ 40,93,440 ₹ 40,93,440 ₹ 40,93,440 ₹ 8,73,90,730
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Funding Opened

18/04/2017
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Contracts exchanged

16/04/2017